"Floodgates Are Open" - German Banks Start Charging Retail Savers | WHAT REALLY HAPPENED

"Floodgates Are Open" - German Banks Start Charging Retail Savers

It has been over 7 years since the European Central Bank's key deposit facility rate was positive, and just a few weeks ago it was lowered to a record low of -50bps.

Source: Bloomberg

And during that time, European bank stocks have suffered greatly...

Source: Bloomberg

As Cornelius Riese, co-CEO of Frankfurt-based DZ Bank A.G. (Germany’s second-largest by assets), observed, negative rates indeed “have a huge impact on banks.” Riese ventured to offer some gentle criticism of Draghi & Co.’s grand policy experiment:

“Maybe at the end of the story, in three to five years, we will notice it was a historical mistake.”

Well, it appears we are about to reach the vinegar strokes of that 'historical mistake', as Bloomberg reports, German banks are breaking the last taboo: Charging retail clients for their savings starting with very first euro in the their accounts.

Webmaster's Commentary: 

This is going to cause intelligent savers to move as quickly as humanly possible into other assets, such as gold, silver, or whatever they think a "stable" version of a bitcoin is going to be.

Savings... should be about earning money, not having money taken away from you for absolutely no damned good reason.

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